University of St. Thomas

John Motschenbacher:
The Dangers and Risks of Working in an Unethical Corporate Culture

Biographical Background

John Motschenbacher was a hard-worker, mentor and company advocate.  He started at BUCA, Inc. as a controller and after seven years and various promotions was CIO.  His desire to satisfy superiors, succeed, and build the business led him to become a “foot solider” of the highly publicized BUCA scandal.  During a three year period, Motschenbacher, along with other senior BUCA executives, committed fraud against the company.  Motschenbacher’s primary role in the scandal, against his personal beliefs and in line with the corporate culture, was falsifying documents and using corporate funds for personal purposes.  Additionally, Motschenbacher obtained what became illegal funds and drove a vendor leased vehicle. 

Ultimately, Motschenbacher was charged with two counts of mail fraud and, because of his acceptance of responsibility and cooperation with the U.S. Attorney’s Office, was sentenced to twelve months of home detention and a $25,000 fine. He also paid $145,000 in restitution to BUCA.

Presentation by John Motschenbacher (and Hank Shea)

Despite the influence of the unethical culture created by BUCA’s CEO and CFO, Motschenbacher realizes he must personally take responsibility for his actions.  While Motschenbacher did not organize nor initiate the scandal, he participated in conduct he clearly knew was wrong.  Motschenbacher, along with Hank Shea, a Fellow at the University of St. Thomas School of Law’s Holloran Center for Ethical Leadership in the Professions and the former Assistant U.S. Attorney who prosecuted Motschenbacher’s case, explore the lessons others can learn from Motschenbacher’s conduct.  Shea guides Motschenbacher as he shares how rationalizing his behavior led him deeper into fraudulent and criminal conduct. 

Lessons to be Learned from Motschenbacher

Students and professionals easily identify with Motschenbacher because he is an average family man from a very modest background.  Thus, audiences gain great insight into the difficulties young, ambitious professionals face in making ethical decisions when under immense pressure from superiors to make unethical choices.  Motschenbacher gives valuable advice to students and professionals, warning that it was when he “began to separate [his] personal beliefs from the company culture and “normal” business that … the black and white became gray.”  Motschenbacher explains that his internal rationalization of his behavior was distorted and led him to believe his criminal behavior was part of acceptable business practices.  Motschenbacher's story has lessons for all — young and experienced professionals alike.  Most importantly, his experience demonstrates the obligation professionals have to maintain their personal values in their professional lives.

To schedule a presentation with Hank Shea and John Motschenbacher, please contact: hjshea@stthomas.edu.